Why does working with a Fiduciary matter?
A fiduciary advisor is required to provide full transparency on services provided and compensation received. One of the primary defining structures of a fiduciary advisor is the fee structure in which they operate, known as “fee-only.” A fee-only advisor is compensated through advice for their clients, management of financial assets, and carrying our financial planning. They are not compensated on a commission structure based on specific investment product choices, which allow them to remain objective and avoid conflicts of interest.
Is Strategic a Registered Fiduciary?
Yes. Strategic has actively taken measures to eliminate all conflicts of interest including being a 100% fee-based advisor. This has allowed us to place our client’s best interests above all. We work to formulate long-term strategies for every client, taking into account their goals, risk tolerances, and financial and personal circumstances. We have numerous employees who hold the Certified Financial Professional’s (CFPs) designation who are governed by the CFP Board of Standards to uphold this fiduciary responsibility.
How are you compensated? Is any of your revenue generated based on the types of investments that you recommend?
We are a fee-only firm. We charge a percentage of the assets that we manage for our clients. We do not receive revenue from any other sources such as selling investment products or insurance products.
Is your firm committed to the fiduciary standard of care? How long has your firm been following this standard?
Yes. Strategic Financial Services, Inc. is a registered investment adviser with the U.S. Securities and Exchange Commission, which means the firm is legally required to act as a fiduciary—putting clients’ interests ahead of its own when providing investment advice. This fiduciary obligation applies across the firm’s advisory relationships and service offerings.
In addition, the ADV explicitly states that Strategic acts in a fiduciary capacity when providing certain services, including employer retirement plan advice, where it adheres to the highest standards of loyalty, prudence, and care required under ERISA.
Strategic opened its doors in 1979, and has been operating as an investment advisory firm since 1989. As disclosed in the Form ADV, the firm provides advisory services as a registered investment adviser and therefore is subject to—and operating under—the fiduciary standard for its advisory business.
Do you or your firm have any potential conflicts of interest in providing financial advice to clients?
We are committed to identifying and managing conflicts of interest to ensure your best interests always come first. For a complete discussion of how we handle potential conflicts, please review our Form ADV Part 2A.